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27 Jan 2015
EUR/AUD: Better bid ahead of key Aussie CPI
FXStreet (Guatemala) - EUR/AUD is better bid, only stalling in the 1.4350's post an impressive rally from 1.4145 the overnight lows.
The euro has attracted demand from being in oversold territory and weeks of supply that had to find the bottom sooner or later before its started to offer a case for a long scenario. However the forces at play were not technical evaluations today, that came 700 pips earlier.
Today 200 pips in the major was taken off the table by the bulls on the back of the the Switzerland National Bank. The vice chairman is monitoring the CHF in respect of the euro and markets are anticipating intervention which sent EUR/USD above the 1.1300. There after, US data disappointed in the form of a dismal Durable Goods number in the US session which supported the EUR again through the greenback.
EUR/AUD is approaching neutral grounds on the back of the move, although has some work to do until it can pull itself out of the bearish technical picture mounting from the decline at 1.4612 on the 13th Jan. The 21st Jan high, 1.4407, will come as the bulls next target.
From the calendar, we get Aussie CPI later on in the session and the consensus is for a downgrade to previous both year on year and month on month. Any variation of the consensus, either way, will be something that could spark some life into the Aussie market ahead of the RBA next month while sentiment is calling for a dovish rhetoric or even a cut from the Central Bank to spur growth and battle against global disinflationary pressures.
The euro has attracted demand from being in oversold territory and weeks of supply that had to find the bottom sooner or later before its started to offer a case for a long scenario. However the forces at play were not technical evaluations today, that came 700 pips earlier.
Today 200 pips in the major was taken off the table by the bulls on the back of the the Switzerland National Bank. The vice chairman is monitoring the CHF in respect of the euro and markets are anticipating intervention which sent EUR/USD above the 1.1300. There after, US data disappointed in the form of a dismal Durable Goods number in the US session which supported the EUR again through the greenback.
EUR/AUD is approaching neutral grounds on the back of the move, although has some work to do until it can pull itself out of the bearish technical picture mounting from the decline at 1.4612 on the 13th Jan. The 21st Jan high, 1.4407, will come as the bulls next target.
From the calendar, we get Aussie CPI later on in the session and the consensus is for a downgrade to previous both year on year and month on month. Any variation of the consensus, either way, will be something that could spark some life into the Aussie market ahead of the RBA next month while sentiment is calling for a dovish rhetoric or even a cut from the Central Bank to spur growth and battle against global disinflationary pressures.